Fertility, Non-Altruism and Economic Growth: Industrialization in the Nineteenth Century

This paper presents a model of fertility, which is specific for the industrialization that took place during the nineteenth century and which was concurrent with the demographic transition that occurred over the period. While previous research on demographic transition assumed altruism as the main element explaining the increase in fertility rates, this paper does not, since altruism seems irrelevant over this period. The relationship between parents and children is part of a whole set of values and social norms that evolved over time and were affected by changes in the economic environment. In the nineteenth century, parental behavior was not compatible with altruism. I therefore present a model that suits the social norms of the nineteenth century. The value that seems to correspond to the legal system and social norms regarding the parent-child relationship of the period of industrialization is perpetuation. Due to a budget constraint on workers, perpetuation is displayed differently in different social classes. This paper will therefore focus on the interaction between the different social classes and show how industrialization is linked to demographic transition.altruism; social classes; demographic transition; capital; proletariat; fertility; growth.

Is Privatization Necessary to achieve Quality of Universities?

The purpose of this study is to analyze the relationship between privatization in higher education and the quality of universities. An interesting fact is that of the top 10 universities in the US, nine are private. Previous studies have claimed that there is a relationship between the privatization of universities and their quality, since countries with a high proportion of private resources have superior universities. The purpose of this paper is to analyze if indeed this supposed relationship is due to empirical regularities between quality and ownership, or whether the two are unrelated. The analysis presented herein is based on data collected on 508 universities in 40 countries. I show that flexibility is the important element affecting quality, and not ownership per se.Higher Education, quality, privatization, ranking

Changes in the Recruitment and Education of the Power Elites in Twentieth Century Western Democracies

The aim of this paper is to examine the evolution of recruitment of elites and to investigate the nature of the links between recruitment and training of elites and economic development. We show that there was a key shift at the turn of the nineteenth century in the way the Western world trained its elites, with a second shift taking place after World War II, when meritocracy became the basis for recruitment of elites. Although meritocratic selection should result in the best being chosen, we show that meritocratic recruitment leads to class stratification and auto-recruitment. We analyze whether stratification resulting from meritocratic selection is optimal for the development of a country, and show that it is dependent on the type of technological changes occurring in the country.elite; auto-recruitment; training; education; meritocracy; stratification; economic growth

Was the Korean slave market efficient?

Over the decades, the traditional condemnation of slavery has been based not only on philosophical argumentation and moral values, but also on the conjecture that slavery was inefficient. This position led to one of the most passionate debates in economic history on the efficiency of the US slave market. This question of efficiency has not been analyzed on the slave market in Korea. The aim of this paper is to analyze the efficiency of the Korean slave market by examining the behavior of slave prices during the period 1689-1893. In order to do so, we collected long-run series of slave prices from nationwide surveys of more than 25 public and private historical records. We then tested whether the slave market was efficient using the arbitrage asset equation. We found slavery to have been efficient most of the time.arbitrage asset equation; efficient markets; Korea; slave

The Role of Higher Education Institutions: Recruitment of Elites and Economic Growth

The aim of this paper is to examine the evolution of recruitment of elites and to investigate the nature of the links between recruitment of elites and economic growth. The main change that occurred in the way the Western world trained its elites is that meritocracy became the basis for their recruitment. Although meritocratic selection should result in the best being chosen, we show that meritocratic recruitment actually leads to class stratification and auto-recruitment. We analyze the consequences of stratification resulting from meritocratic selection for the development of a country, and show that these consequences are dependent upon the type of technological changes occurring in the country.economic growth, education, elites, meritocracy, recruitment, social mobility, stratification

Population dynamics and economic growth: Should we adopt different frameworks for poor and rich countries?

From the canonical model of Becker onward, models of population dynamics have been based on assumptions which fit the family structure of developed countries. The aim of this paper is to develop a framework that fits the family structure of poor countries. The building blocks of the model incorporate elements essential to the determination of population dynamics in poor countries, i.e., child labor, intergenerational flows from children to parents, and the effects of child labor on children's health. The main result of this paper is that the correlation between economic growth and fertility rates runs in inverse directions for poor and rich countries

Ranking and quality of universities: What makes US universities to be at the top?

The purpose of this study is to isolate the factors influencing universities' quality. An interesting fact is that of the ten top-rated US universities, nine are private. Therefore, previous studies have claimed that there is a correlation between universities being private and their quality. The purpose of this paper is to analyze whether private universities are indeed of higher quality. The analysis presented herein is based on data collected on 508 universities in 40 countries. I show that flexibility in governance is the important element affecting quality, and not being private per se

Paid basic income, fertility rates and economic growth

The purpose of this paper is to examine the effects of paid basic income on fertility rates in a model in which fertility rates are endogenous. I show that when child labor is not a crucial part of the income of the family, then paid basic income will lead to higher fertility rates. However, when child labor is a necessity, then in fact an increase in paid basic income will lead to a reduction in fertility rates

Promiscuous elites and economic development

This paper analyzes the interconnection between elites and its effects on economic growth. For decades, the bureaucratic elite has been joining the business elite after leaving office, and this in growing numbers. This relationship has been termed the revolving door in English, pantouflage in French, and amakudari [descent from heaven] in Japanese. The purpose of this paper is to explain why this social behavior takes place, and why the political elite does not try to prevent it. Moreover, this paper shows that the bureaucratic elite obtains excessive bureaucratic power, and that promiscuous elites actually lead to lower economic growth

Globalization and the emergence of a transnational oligarchy

The aim of this paper is to examine the evolution of recruitment of elites due to globalization. In the last century, the main change that occurred in the way the Western world trained its elites is that meritocracy became the basis for their recruitment. Although meritocratic selection should result in the best being chosen, we show that meritocratic recruitment may actually lead to class stratification and auto-recruitment. In this paper, I show that due to globalization, the stratification effect will be even stronger. Globalization will bring about the formation of an international technocratic elite with its own culture, norms, ethos, and identity, as well as its private clubs like the Davos World Economic Forum. We face the emergence of a transnational oligarchy